Quantifying the Value of Social Media Marketing

As we’ve been discussing all semester, social media represents an extremely valuable form of marketing to companies. This article poses the question of how that value can be quantified. Unfortunately, measuring the value of social media to a company is no easy task. The article does, however, offer a handful of possible ways to come up with a number. One common way to measure return on investment from social media activity is to consider the opportunity cost of a given social media campaign. Other suggestions include basing ROI off of positive brand sentiment (which is very difficult to quantify) and focusing upon measuring each individual social media activity’s ROI, rather than the combined value of all social media. What do you think is the most effective way to quantify the value of social media to a company?

http://www.theguardian.com/salesforce-partner-zone/how-much-is-your-social-media-marketing-worth

Advertisements
This entry was posted in Uncategorized. Bookmark the permalink.

One Response to Quantifying the Value of Social Media Marketing

  1. We’ll talk more about this later in the semester, although an important thing to keep in mind is that this is true of all forms of advertising. For example, what is the ROI of sponsoring the Superdome?

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s